"This is a major victory for economic development in Upstate New York," said Assemblymember Sam Hoyt (D-Buffalo) sponsor of the bill in the Assembly. "The amendments will create a snowball effect of private sector investment that includes the creation of hundreds of new jobs and many historic structures in communities across upstate will be saved and restored."

The new law opens the eligibility pool for the tax credit, providing more incentive to invest funds in rehabilitation projects across the state. The amendments allow banks and insurance companies to claim the tax credit, giving greater access to those wanting to restore and rehabilitate historic commercial structures.

"This legislation is extremely important for continued development in Upstate New York," said New York State Senator David J. Valesky (D-Oneida) sponsor of the bill in the Senate. "Making the HRTC available to banks and insurance companies will result in tens of millions of dollars of investment in our downtowns, hundreds of jobs and a revitalization of our upstate urban cores."

Hoyt and Valesky were the prime sponsors of the Historic Rehabilitation Tax Credit legislation signed into law in 2009 that provided tax incentives for investors of both commercial and residential development of historic structures across New York State. Since the law took effect on January 1, 2010, the residential component of the original bill – which covers owner-occupied structures listed on the State and National Registers of Historic Places – has already seen a rise in applications. The commercial aspect has been strengthened by the passage of the new amendments.

"Banks and insurance companies are among the most experienced users of the federal rehabilitation tax credit program," said Jay DiLorenzo, President of the Preservation League of New York State. "By removing the hurdles that prevented them from fully utilizing the New York State Rehabilitation Tax Credit Program, higher levels of private investment will finally begin to flow to redevelopment and revitalization projects across the state."

Developers across the state have been an active part of revising the legislation and have been pressing for the amendments to pass. Many high-profile projects in Western New York will receive a boost by allowing banks and insurance companies to apply for the tax credit, such as the Lafayette Hotel, AM&A´s, Horsefeathers Building, Genesee Gateway Project, Ailing & Cory Building, Bethune Hall and The Cooperage.

"Without Sam’s efforts and the efforts of Senator Valesky, the Lafayette Hotel and the AM&A"s department store would not be getting done," said Rocco Termini, head of Signature Developments, who has been a leader in rehabilitating structures in downtown Buffalo.

Many advocates of the new legislation believe it is a major step forward that strengthens the already important existing historic rehabilitation tax credit law. The legislation expands the opportunity for the reinvestment and development of existing buildings, many of which anchor communities of all sizes in New York State, will have a positive impact for decades.

"Projects that qualify for the historic tax credit will support local economies using talented tradespeople, reduce waste going to landfills, encourage respect for our older neighborhoods and Main Streets and bring new vitality and livability to both urban and rural areas,” said Catherine Schweitzer, Executive Director of The Baird Foundation in Buffalo.

"I do not want to see another historic building in Western New York become derelict or demolished," Hoyt said. "Many key rehabilitation projects locally and statewide have been on hold, waiting for this amendment to pass. Now that it has, developers can get to work stimulating our local economies."

For more information on the Historic Rehabilitation Tax Credit, please visit the State of New York Historic Preservation Tax Credit website.